white knight

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White knight

A friendly potential acquirer sought out by a target firm that is threatened by a less welcome suitor.

White Knight

Informal; an acquiring company in a friendly takeover. One usually refers to a white knight when the target company would be otherwise subject to a hostile takeover. That is, the white knight rescues the target company from the prospect of the hostile takeover. While the target company does not remain independent, it is able to negotiate terms with the white knight. Management usually remains in place and shareholders are often paid a higher price. See also: Black Knight, Gray Knight.

white knight

A person or company that rescues a target firm from a takeover attempt by buying the firm. Compare raider. See also hostile tender offer, shark repellent, white squire.

White knight.

A corporation that is the target of a hostile takeover sometimes seeks out a white knight that comes to the rescue by making an offer to acquire the target company in a friendly takeover that suits the needs and goals of the target's management and board.

The hostile acquirer is called a black knight, and if the white knight is outbid by a third potential acquirer, who is both less friendly than the white knight and more friendly than the black knight, the third bidder is called a gray knight.

white knight


white knight

References in periodicals archive ?
Thirdly, the 'white knight concept' can be seen as a model of ethics.
According to White Knight Paints, Floorcoat Plus is a "high performance, two-pack water-based coating for floors that has been developed for use on bare and painted concrete--ideal for retail outlets, warehousing and commercial premises plus heavy traffic domestic areas".
Yahoo said in a statement, ''In the event that TBS falls into an emergency, we would seriously study the possibility of becoming a white knight if requested by the TBS management.''
"If any potential white knight wanted to see you-anywhere--you got on a plane."
So now that he can finally begin to take a breather and bask in the accomplishment of saving people's homes - while making the property profitable for all - Filopoulos is busy with other "white knight" projects and expanding his scope throughout the tri-state area.
In this paper, we place the white knight's decision to enter the control contest in a broader context.
The court also held that the break-up fees paid to the white knight were deductible as a business expense under section 162, noting that "costs incurred to defend a business against attack are ordinary and necessary expenses."(57) Furthermore, the court concluded that break-up fees were deductible as a loss under section 165, because loss deductions are allowed for abandoned capital transactions.
This image, of Dodgson closing in on his model, establishes the framework for Wilson's evening of theater; within it he creates a picture of Dodgson, his intellect and his passions, and weaves it into Alice's adventures by having the same precisely mannered actor (Stefan Kurt) play Dodgson, the White Rabbit, and the White Knight. By the end of the evening we have learned much about both the fictional and the real Alice, a remarkable end result for a Wilson production, where narrative content is rarely the point of his many tautly constructed scenes.
One of the top "white knight" candidates is Anheuser-Busch (Labatt already brews Budweiser under license in Canada).
If the target's board determines a takeover is not in shareholders' best interests, defensive measures generally are taken, possibly including the search for a white knight.
The press note issued by the Public Relation Officer (PRO) Defence, Jammu, Lieutenant Colonel Devender Anand stated, "The COAS was briefed and updated by Lt Gen Paramjit Singh, General Officer Commanding, White Knight Corps and commanders on the ground.
The regulator, likewise, said the investment of the third party investor would not be considered for purposes of addressing the capital deficiency, if the aforementioned requirements are not complied with, except in cases when the 'white knight' exhibits strong financial capacity and firm commitment to address the capital deficiency of a bank.